Remember the CEO who fired 900 employees on Zoom call? He has been fired, ready to work for $1 annual salary

“If you’re on this call, you are part of the unlucky group that is being laid off. Your employment here is terminated effective immediately.”

Remember Vishal Garg, who fired 900 employees on a Zoom call? The Better Home & Finance CEO was fired on 3 August. Now, he feels deceived.

Garg claims his replacement, Daniel Lewis, praised the company. He alleges that Lewis used this praise to secure a seat on the board, according to CNN.

Better has faced considerable turmoil throughout Garg's leadership tenure. The company once held an $8 billion valuation during pandemic-era refinancing booms. Today, with rates near 7%, its market value sits at $300 million, CNN reported.

Garg earlier took a leave of absence following controversial mass layoffs. The company also survived a whistleblower lawsuit that was dropped and an SEC investigation. A disastrous 2023 SPAC merger caused shares to crater 93%.

Despite this, Garg insists he was delivering an unlikely turnaround. Annual sales fell from $1.5 billion in 2021 to $70 million. This year, sales are projected to reach $200 million instead, according to CNN.

Garg credits AI models for rapidly processing mortgage applications efficiently. A partnership with Neo Home Loans reportedly doubled productivity. It also cut loan origination costs by roughly 50%, he claims.

Company ‘close to profitability’

Major companies, such as Intuit, Coinbase and OpenAI, partnered with Better this year. Garg said the business had recently tripled its loan volume. He described the company as being "at the five-yard line" toward profitability.

“We’re winning. We’ve tripled loan volume. We’re close to profitability. We were at the 5-yard line after taking the ball all the way down the field from the other side,” Garg told CNN.

Garg acknowledged his demanding leadership style and the infamous layoff controversy. However, he claims Lewis convinced the board that he hadn't pushed hard enough.

“It’s an acknowledgement that I’ve been doing this for 10 years, but execution hasn’t been perfect. I hope it gets resolved. I think the future still remains very bright for Better,” he said.

Lewis joined Better's board on 27 July, following months of advisory conversations. Within a week, he'd convinced directors to replace Garg as CEO, according to CNN.

Garg believes Lewis concealed his true intentions throughout their earlier discussions. He suspects Lewis always intended to become CEO himself. Garg argued that the board ultimately made a significant mistake.

Since Lewis took over, Better's stock has fallen 45%. Garg says several investors have urged him to reclaim leadership. He holds Class B shares carrying special voting powers alongside allies. Garg has hired lawyer Alex Spiro and formally demanded reinstatement from the board.

He has offered to work for just $1 annually until profitability returns. Garg would then transition out of the CEO role. He acknowledged imperfect execution despite a decade of leading the company. Garg expressed hope for a resolution and remained optimistic about Better's future prospects.